Just a quick question, within the Asset Management division of an investment bank, typically a team of fund managers will also have a team of traders who execute the buys and sells on the portfolio. Regarding these traders, are they considered FO, MO or BO?

The reason I ask is that from my experience they tend to do the same job as traders who take orders from many different clients, except their sole focus is just that fund. They still try and get the best entry/exit points etc.

(Original post by UseYourEyes)
Just a quick question, within the Asset Management division of an investment bank, typically a team of fund managers will also have a team of traders who execute the buys and sells on the portfolio. Regarding these traders, are they considered FO, MO or BO?

The reason I ask is that from my experience they tend to do the same job as traders who take orders from many different clients, except their sole focus is just that fund. They still try and get the best entry/exit points etc.

Thanks for reading.

In Asset Management, the division between FO, MO and BO is a lot more blurred than in, say, IBD or Markets. Indeed, usually an asset manager will have two principal divisions: Portfolio Management and Sales & Marketing. Each of these two divisions will then have support roles, as well as people who actually contribute to profit.

In my opinion, Traders in AM are FO. The jobs that they do are exactly the same as in Hedge Funds and are more concerned with timing the trades and get a good overall picture of the market.

I would have assumed that the portfolio management (trading) and sales were seen as FO and the support functions would be similar to that in IB. I think perhaps AM is less prestigous than IB but the structure is the same.